Karnataka Assembly passes Bill consolidating apartment ownership laws

BENGALURU: The Karnataka Apartment (Ownership and Management) Bill 2026 was passed in the Assembly on Friday.

Key points

• This person presented the Bill, remarked it is a comprehensive piece of legislation.
• "For those who do not agree, there is a provision to give them compensation, " he continued.
• The Bill allows apartment owners to transfer, mortgage, lease or gift their apartments along with their undivided share in the land and common areas.
• The Bill bars apartment associations from creating mortgages or encumbrances over individual apartments or common areas after conveyance.

BENGALURU: The Karnataka Apartment (Ownership and Management) Bill 2026 was passed in the Assembly on Friday. The Bill is projected to consolidate the laws relating to ownership of an individual apartment in a building and to produce such apartments heritable and transferable.

Bengaluru Development Minister Krishna Byre Gowda. This person presented the Bill, remarked it is a comprehensive piece of legislation. We have framed the Bill after taking various stakeholders into confidence. We cannot say all problems concerning apartments will be resolved. But if any changes are required, we are ready to adopt. This is a good beginning, '' he stated.

In practice, the Bill seeks to establish a mechanism for apartment governance, management of common areas and facilities and ownership rights over individual apartments and their undivided share in common property.

In practice, the minister remarked the city is expanding and land scarcity will be an problem. There is a debate as to who will maintain common places like roads and club house within an apartment complex. There is no law for the reconstruction of an old apartment. The Karnataka Ownership of Flats Act, 1972 and the Karnataka Apartment Ownership Act, 1972 have not been updated, and there is no solution under RERA either.

Various apartment associations are registered under different authorities. There will be a competent authority within panchayats and urban local bodies. If any problems arise, apartment owners can approach them. There is a provision for reconstructing an apartment with the written consent of at least 75% of apartment owners.

In practice, the Bill allows apartment owners to transfer, mortgage, lease or gift their apartments along with their undivided share in the land and common areas. Such rights cannot be divided without approval. While owners can independently mortgage their apartments without affecting others, promoters must disclose all mortgages.

In practice, the Bill bars apartment associations from creating mortgages or encumbrances over individual apartments or common areas after conveyance. "Adjacent apartments may be merged for use as a single unit, but they will continue to retain separate apartment numbers and proportionate land rights, " the Bill notes.

It additionally states any extra development rights or built-up area arising from changes in planning, zoning will collectively belong to apartment owners and be distributed according to their private area. The promoter must execute and register the deed of transfer.

For now, karnataka Assembly passes Bill consolidating apartment ownership laws remains the part of the story worth watching, and further updates are likely as more details are confirmed.